Mr Delaney said that the mortgages for one-beds will be restricted to Dublin initially, but may be extended to other areas in time.

Landlords who are seeking a mortgage for a one-bed apartment will need a deposit of at least 30pc of the property's value, in line with Central Bank rules.

Pepper will allow certain self-employed people to qualify for a mortgage with just one year's financial accounts.

Most lenders require three years of accounts.

Mr Delaney said there would also be a requirement to produce another six months of management accounts.

The lender has rates as low as 3.1pc for residential borrowers.

Broker Michael Dowling, of Dowling Financial, in Dublin, said that this was more competitive than the variable rates offered by Bank of Ireland or Permanent TSB.

Pepper charges the self-employed an extra 0.5pc, he added.

People with an impaired credit history, who are now back on track, are offered variable rates staring from 3.85pc.

Mr Delaney said many of the changes reflect rising property prices.

"We've identified demand for certain types of products and certain categories of borrowers, such as more flexibility for Ireland's self-employed to get a foot on the property ladder, and a more relevant equity release model for refinancers."